The Maharashtra government has announced a GST Amnesty Scheme to waive interest and penalties on pending liabilities for the fiscal years 2017 to 2020. Deputy Chief Minister Ajit Pawar unveiled the scheme in the state legislature, urging businesses and taxpayers to settle their dues before the deadline of March 31, 2025, to avoid additional charges.
Key Highlights of the Amnesty Scheme
- Scope of Disputed Amount:
- The total disputed GST amount for Maharashtra stands at approximately ₹54,000 crore, comprising ₹27,000 crore in core tax and ₹27,000 crore in interest and penalties.
- Expected Applications:
- The state anticipates around 1.14 lakh applications from taxpayers involved in GST disputes.
- Projected Recovery:
- Based on past trends, about 20% of the disputed amount is expected to be recovered, translating to ₹5,500-6,000 crore.
- Of this, approximately ₹2,700-3,000 crore will contribute to the state’s treasury, while the remainder will go to the Central government.
Significant Relief for Businesses
The scheme offers taxpayers a chance to resolve long-pending disputes and clear liabilities without the burden of penalties and interest, providing much-needed financial relief. Ajit Pawar emphasized the government's commitment to helping businesses recover and reduce litigation, thereby improving compliance.
Awareness Campaigns
To ensure the success of the scheme, the government is conducting extensive awareness campaigns targeting:
- Taxpayers
- Legal professionals
- Chartered Accountants
- The general public
The campaigns aim to educate stakeholders about the benefits of the scheme and guide them on availing of this opportunity.
What Taxpayers Should Do
- Act Promptly: Taxpayers should review their pending GST liabilities and apply for the scheme before the March 31, 2025 deadline.
- Consult Experts: Seek advice from chartered accountants or tax advisors to ensure accurate calculations and submissions.
- Stay Updated: Follow updates from the state government and GST authorities for any clarifications or procedural changes.
Conclusion
This GST Amnesty Scheme reflects Maharashtra’s proactive approach to resolving tax disputes while offering a lifeline to businesses. With a potential recovery of over ₹5,500 crore, the scheme will bolster the state’s revenues and encourage compliance among taxpayers.
Businesses are urged to seize this opportunity and settle their liabilities to avoid further financial burdens.
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